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Is Outfront Media (OUT) a Great Value Stock Right Now?

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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.

Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.

In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.

One stock to keep an eye on is Outfront Media (OUT - Free Report) . OUT is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 9.35, while its industry has an average P/E of 15.62. Over the last 12 months, OUT's Forward P/E has been as high as 11.69 and as low as 8.09, with a median of 9.33.

Investors will also notice that OUT has a PEG ratio of 1.27. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. OUT's PEG compares to its industry's average PEG of 2.76. Over the past 52 weeks, OUT's PEG has been as high as 1.83 and as low as 1.10, with a median of 1.56.

Finally, we should also recognize that OUT has a P/CF ratio of 10.52. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. OUT's current P/CF looks attractive when compared to its industry's average P/CF of 15.84. OUT's P/CF has been as high as 11.02 and as low as 7.71, with a median of 9.53, all within the past year.

These are only a few of the key metrics included in Outfront Media's strong Value grade, but they help show that the stock is likely undervalued right now. When factoring in the strength of its earnings outlook, OUT looks like an impressive value stock at the moment.


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